Bitcoin, Ethereum, XRP, and several other major cryptocurrencies are back in the green after the crypto market extended the recovery that began during August.
Bitcoin has gained around 4% over the past 24 hours and briefly moved above $82,000. Ethereum has climbed close to 5%, while XRP has added close to 6%. The broader crypto market has followed the same direction, which makes this more than an isolated Bitcoin price move.
Several developments have come together at almost the same time. Federal Reserve expectations have changed, short liquidations have accelerated the move, and Bitcoin has returned to a price area that could determine whether the recovery has more room to continue.
Another major test arrives today through the US jobs report. That makes the current crypto market rally particularly interesting because the next catalyst is already approaching.
What you'll learn 👉
Bitcoin Price Jumped After Federal Reserve Rate Expectations Changed
Federal Reserve Governor Christopher Waller played an important role in the latest Bitcoin price move.
Waller indicated that he could support keeping interest rates unchanged during the September meeting if inflation continues to cool. His comments reduced expectations for another rate increase and helped risk assets recover.
Markets had previously priced the probability of a September rate increase at 63.2%. That probability dropped to around 50% following Waller’s comments. US stocks also moved higher, with the Dow Jones gaining 1.18%, the S&P 500 adding 1.06%, and the Nasdaq Composite climbing 1.40%.
Bitcoin responded strongly to the changing rate outlook. The Bitcoin price climbed from around $77,000 and eventually crossed $82,000, its highest level since May.
Ethereum and XRP followed Bitcoin higher as capital moved across the broader crypto market.
Current moves among the largest cryptocurrencies include:
- Bitcoin: Up around 4% over the past 24 hours
- Ethereum: Up more than 4%
- XRP: Up close to 6%
- BNB: Up more than 4%
Those moves show that the recovery has spread beyond BTC.
Crypto Short Liquidations Helped Push Bitcoin Toward $82,000
Liquidations have also played an important role in the speed of the latest move.
Bitcoin just hit $82,000 as $135 billion was added to the crypto market cap in the past 24 hours.
— The Wolf Of All Streets (@scottmelker) September 3, 2026
The total crypto market now stands at ~$2.82 trillion, its highest level in more than seven months.
At the same time, ~$466.89 million in short positions was liquidated across the… pic.twitter.com/74YwJR8qdO
Crypto analyst Scott Melker, known as The Wolf of All Streets, noted that roughly $466.89 million in short positions were liquidated across the crypto market during the rally. His figures included around $257.24 million in Bitcoin shorts.
Separate market data placed total crypto short liquidations above $400 million during the initial move.
Short liquidations can accelerate a rally because bearish positions are forced to close as prices rise. That process creates additional buy orders and can push prices higher within a relatively short period.
Melker also pointed to the broader increase in crypto market capitalization as Bitcoin moved through $82,000. The combination of improving macro expectations and forced short closures gave the recovery extra strength.
Spot Buying Shows The Bitcoin Rally Is Not Only About Leverage
Leverage does not appear to explain the entire recovery.
Crypto analyst Ali Martinez examined the larger Bitcoin rally and found that spot trading volume increased 153%, compared with a 109% increase for perpetual futures volume.
BITCOIN 27% RALLY WAS NOT DRIVEN BY LEVERAGE
— Ali Charts (@alicharts) September 4, 2026
During the breakout, spot trading volume grew 153%, compared with 109% for perpetuals.
At the same time, the spot-to-perpetual ratio compressed from 6.02x to 4.97x, ETF inflows turned positive before the breakout, and… pic.twitter.com/EZ1GJrorBZ
Martinez also noted that Bitcoin-denominated open interest declined even as BTC moved higher. ETF flows had already returned to positive territory before the breakout.
Several figures from his analysis stand out:
- Spot trading volume increased 153%.
- Perpetual futures volume increased 109%.
- US spot Bitcoin ETFs received around $3.05 billion.
- Binance added roughly $2.63 billion in BTC balances.
- Binance accounted for almost 46% of analyzed spot volume.
Those figures point toward fresh capital entering Bitcoin instead of the entire move depending on leveraged futures positions.
Analyst Tracer also pointed to large Bitcoin purchases across major exchanges and institutional market participants. His data included 10,921 BTC associated with Binance, 8,237 BTC with Coinbase, 2,180 BTC with Kraken, and 3,210 BTC with Wintermute.
🚨 HERE'S THE REASON WHY BITCOIN IS PUMPING:
— ᴛʀᴀᴄᴇʀ (@DeFiTracer) September 3, 2026
Coinbase bought 8,237 BTC
Binance bought 10,921 BTC
Whales bought 21,995 BTC
Kraken bought 2,180 BTC
Wintermute bought 3,210 BTC
Huge whales and companies buying MILLIONS of $BTC and pumped price to $82,000
This is extremely bullish… pic.twitter.com/vEb6crSy5J
Bitcoin Price Now Faces A Major Test Around $82,000 To $83,000
A look at the Bitcoin chart shows why the next move could matter. Bitcoin has returned to the $82,000 region after spending much of the recent period below that area. Resistance around $82,000 to $82,900 now becomes an important test for the recovery.
A clean move above $82,900 could open the door toward the $90,000 region. Continued strength beyond there could eventually place the $97,000 area back into view.
Failure to clear the current resistance would create a different setup. Bitcoin could return toward previous support areas around $76,000 to $75,000 before another directional move develops.
The main scenarios currently look like this:
| Scenario | Key Bitcoin Level | Possible Next Area |
|---|---|---|
| Bullish | Break above $82,900 | $90,000 to $97,000 |
| Neutral | Remains around current resistance | $78,000 to $83,000 |
| Bearish | Rejection below resistance | $75,000 to $76,000 |
Recent price history gives the breakout extra importance. Bitcoin traded around $78,000 earlier this week, with the $80,000 to $82,000 area already identified as a major resistance zone.
Ethereum And XRP Prices Are Following Bitcoin Higher
Ethereum and XRP have also benefited from the broader crypto market recovery.
Ethereum climbed above $2,500 during the latest move, with its daily increase reaching more than 4%. XRP performed even better on a percentage basis and gained around 5.7% as its price moved near $1.45.
XRP entered September after a powerful August recovery. Ethereum followed a similar pattern after posting a much stronger August than Bitcoin on a percentage basis.
Read Also: Ripple’s DTCC Connection Could Be Much Bigger Than XRP Holders Realize
Their latest moves therefore look connected to the broader recovery that began around the middle of August. Late August weakness interrupted that move, but the latest rebound has brought several major cryptocurrencies back toward important resistance areas.
Bitcoin remains the key asset to watch because another breakout could provide room for Ethereum, XRP, and other large cryptocurrencies to extend their recoveries.
US Nonfarm Payroll Data Could Decide What Happens Next
The next major test comes from the US economy. The August nonfarm payroll report is scheduled for September 4 at 8:30 a.m. ET. Economists surveyed by Reuters expect around 56,000 jobs to have been added after employment fell by 23,000 during July. The unemployment rate is expected to remain near 4.1%.
The numbers matter because they could affect expectations surrounding the Federal Reserve’s September meeting.
Weak employment numbers could reduce pressure on policymakers to raise rates again, although inflation remains another major part of the decision. Stronger employment data could produce the opposite reaction if markets begin pricing a greater chance of another rate increase.
That leaves the crypto market facing 2 major tests at once. Bitcoin needs to deal with resistance around $82,000 to $82,900, and financial markets need to digest the latest US employment numbers.
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